When it comes to residential leasehold property in Hambleton, you are actually buying an entitlement to reside in a property for a prescribed time frame. In recent years flat leases typically tend to be for 99 years or 125. Even though this may appear like a lengthy period of time, you may think about a lease extension sooner as opposed to later. The general rule is that the shorter the lease is the cost of extending the lease gets disproportionately more expensive particularly when there are less than eighty years remaining. Residents in Hambleton with a lease nearing 81 years remaining should seriously think of extending it without delay. When a lease has below 80 years left, under the relevant statute the landlord can calculate and charge a greater amount, assessed on a technical multiplication, strangely termed as “marriage value” which is payable.
It is conventional wisdom that a property with over 100 years remaining is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
Regardless of whether you are a tenant or a landlord in Hambleton,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Hambleton valuers.
Cameron was the the leasehold owner of a studio flat in Hambleton being sold with a lease of fraction over 59 years outstanding. Cameron informally spoke with his landlord being a well known Manchester-based freehold company for a lease extension. The landlord was keen to give an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £100 per annum. No ground rent would be due on a lease extension were Cameron to invoke his statutory right. Cameron procured expert legal guidance and was able to make an informed decision and handle with the matter and sell the property.
In 2010 we were called by Mrs Rachael Green who, having moved into a purpose-built apartment in Hambleton in June 2003. The question was if we could shed any light on how much (approximately) premium would be to extend the lease by an additional years. Comparable homes in Hambleton with an extended lease were worth £220,400. The average amount of ground rent was £45 invoiced quarterly. The lease lapsed in 2089. Taking into account 64 years outstanding we estimated the premium to the freeholder to extend the lease to be within £16,200 and £18,600 not including fees.
Last Winter we were contacted by Mr Daniel Ramírez , who owned a newly refurbished apartment in Hambleton in October 2012. The question was if we could estimate the price would be for a 90 year extension to my lease. Comparative flats in Hambleton with a long lease were worth £270,000. The average ground rent payable was £55 collected per annum. The lease terminated on 6 October 2100. Given that there were 75 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 exclusive of professional charges.